Fact-Checking Scott Walker

MilwaukeeCounty Executive Scott Walker has been continuously campaigning for governorfor the past six years. So how do his campaign claims live up to the reality ofhis time in office? Here’s a look at some of his biggest claims:

Reality: It’s a carefully worded statement, but “sneaky and misleading,” saidAnna Landmark, research director of One Wisconsin Now (OWN).

On the faceof it, Walker’sstatement makes it sound like he hasn’t raised property taxes since proposinghis first budget.

But that’snot the whole story, of course.

Here’s howit works: Walkerwill introduce an unrealistically stringent budget each autumn. The countyboard then has no choice but to add spending and tax increases to keep up withinflation and other increased costs of doing business. Walker will veto the changes, and the boardwill override the veto. Then Walkerwill use that budget as the base line for his next year’s budget.

And, voila! Walker can say that hehasn’t increased taxes and spending because the board has made the toughdecisions.

So how muchhave property taxes increased during Walker’sreign? OWN crunched the numbers and found that Walker’s proposed budgets from2003 to 2010 raised property taxes about 17%, while he’s increased spending35%, more than Gov. Jim Doyle did during the same period. What’s more, fees onlicenses, permits, fines and forfeitures have increased a whopping 129% during Walker’s tenure.

“There isthe world that exists, in which he has made these increases, and then there’sthis fantasy world of the campaign he’s running,” said OWN’s executivedirector, Scot Ross.

Anotherproblem, of course, is the lengths to which Walker must go to not increase taxes whiletrying to come up with a budget. Walkerfailed utterly when he introduced his 2010 budget with a $32 million hole in itthat was to be magically filled through $32 million of wage and benefitconcessions during union contract negotiations. But Walker’s labor negotiator had never proposedthese concessions to the unions. That budget still hasn’t been resolved andprobably won’t be by the time voters cast their ballots this fall. In themeantime, Walkerhas forced many union workers to take 22 unpaid furlough days in 2010,furloughs that are wreaking havoc in places like the Milwaukee County MentalHealth Complex and the Milwaukee County Zoo. It’s likely that the cost of thefurloughs in these critical 24/7 operations will outstrip what has been saved.

Claim: Walker says that as governor he wants to decreasetaxes on employers, property owners, wealthy investors and retirees.

Reality: This makes for a great sound bite on the Republican campaign trail, butWalker’s tax proposals would blow a $5 billion hole in the state budget,according to research conducted by OWN.

First off, Walker would inherit a$2.3 billion deficit. Then he wants to slash the income tax for the top 1% ofearners, which would cost the state $287 million over the biennium. He alsowants to reopen the “Las Vegas loophole” toreward Wisconsin companies that set up phony offices in states without a corporateincome tax to avoid paying Wisconsin statetaxes. That move would set the state back about $375 million. Then he wants toroll back the capital gains tax paid by the state’s wealthiest people. Cost tothe state over two years: $243 million. Walkeralso wants to phase out taxes on retirement income—regardless of the retiree’swealth—which would cost the state a whopping $920 million over the course oftwo years. And Walker’slatest gimmick is to put the sales tax from new cars into the transportationfund, which would take more than $1 billion out of the state’s general fund.

Total costto the state: $5.125 billion during Walker’sfirst two years in office.

Although Walker is constantlycampaigning, he’s been pretty silent about how he’d make up for these cuts. Hisonly proposal thus far is to require state employees to contribute to theirpensions. But that would generate a mere $185 million—$4.94 billion short ofwhat he’s slashing from the state budget and handing to the state’s wealthiestresidents.

Claim: Walker plans to add 250,000 jobs during his firstterm as governor.

Reality: Interesting, because the county’s unemployment rate has increasedwhile Walker’sbeen in office. This promise means reducing the state’s unemployment rate tovirtually zero. Walkeroffers no details on how he’d create jobs beyond cutting taxes and improvingeducation, and it’s hard to improve education with less revenues.

As countyexecutive, Walkerhas cut 20% of the county’s workforce. Many of those jobs have vanished, whileothers were outsourced to private companies based out of state, such as themultinational corporation Wackenhut/G4S, which took over some of the county’ssecurity services.

Then there’slast week’s Bucyrus International dust-up, which has now been resolved. BucyrusCEO Tim Sullivan, a political conservative, commended the Obama administration,Sen. Herb Kohl, Gov. Jim Doyle and Milwaukee Mayor Tom Barrett for engaging inan “all-nighter” to resolve the dispute between the South Milwaukee manufacturer and theExport-Import Bank. And how did Walker handlethe threat to a major corporation within Milwaukee County?By taking out a full-page ad in a Racinepaper to whine about the situation on the day Obama visited that city.

Claim: Walker is the one candidate who can helpHarley-Davidson.

Reality: Walkerhas tried at every turn to seem “cool” by being a big Harley supporter. Hislatest gimmick is to promise to help Harley by reviving the Las Vegas loophole (otherwise known asrepealing the combined reporting law), which Walker (not Harley) claims iscosting the motorcycle manufacturer $22 million in taxes.

The problem,though, is that it just isn’t true. Combined reporting hasn’t caused Harley’stroubles and, what’s more, the state’s new tax policies are helping its bottomline. The new corporate tax policies benefit Wisconsin-based manufacturers. “Ifthe change [to corporate tax policies for Wisconsin-based manufacturers] hadnot been made and Harley had continued to pay taxes at its 2005 rate, then in2008 its income tax bill would have been $16 million instead of $1 million,”concluded a study by the Institute for Wisconsin’s Future.

Claim: Walker “invested over$199 million in renovations and improvements to General Mitchell International Airportwithout increasing the property tax levy.”

Reality: Of course the airport didn’t use theproperty tax for its improvements. “The airport doesn’t rely on the propertytax,” explained Milwaukee County Supervisor Chris Larson, because it uses feespaid by airlines and passengers.

Reality: Voters in Milwaukee Countyrejected issuing bonds to cover pension payments in a 2005 referendum. But Walker succeeded ingetting almost $400 million in these bonds approved by the county board andstate last year. While “bonds” may sound safe in theory, in reality they’reactually kind of risky. The idea is to invest the $400 million from thebond sales in hopes of receiving an interest rate that is higher than what thecounty pays on the bonds. This is likerefinancing your house and investing the money in volatile tech stocks, andhoping that you’ll turn a consistent profit.

Back in2008, the Public Policy Forum looked at Walker’s plan and was worried: “In light of the existing turmoil in the nation’sfinancial markets, it is highly questionable whether [pension obligation bonds]could and should be issued in this calendar year [2009], and whether theexisting plan would have the desired impact in light of an almost certaindramatic increase in the unfunded liability due to investment losses.” Guesswhat? Walkerdid in fact implement them in 2009, a year full of financial turmoil.

And the $237 million saved? Walker campaignspokeswoman Jill Bader explained that the savings are spread out over 35 years.

What’s more, Walker failed to clean up the pension systemhe’d inherited. In fact, the JournalSentinel won a Pulitzer in 2008 for its reporting on how a $50 millionloophole still existed in the plan five years after Walker was voted into office.�

Claim: “From2002 through 2010, Scott and Tonette Walker have given back over $370,000 ofhis salary to the county.”

Reality: Walker likes to brag thathe returns a portion of his salary to the county to show that he’s frugal. Butin 2004, a campaign rival noted that despite Walker’s claims of returning some salary, hewas still drawing his pension and benefits on his full salary.

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Comments (35)

This story really tells it all. Walker is a disgr...

This story really tells it all. Walker is a disgrace to Wisconsin and a liar. I can't believe he came from a religious family . . . well, yes, I do!!! Extreme is what I see here. Do you think he has some mental health issues he's dealing with? He is not helping Wisconsin! He is bringing Wisconsin down and our GREAT Wisconsin will no longer be where people want to live! I certainly am thinking about it! What about all the soon-to-be retirees from the State . . . do you think they'll live in Wisconsin?

Anonymousmore than 7 years ago

Using a progressive group as the only source for y...

Using a progressive group as the only source for your fact check is not credible.

Anonymousmore than 7 years ago

Look I have lived in Milwaukee my whole life, I do...

Look I have lived in Milwaukee my whole life, I don't care what political party someone belongs to, but I know a tool when I see one. Walker is definitely a tool. And who owns this tool? Wealthy people own him. It always amazes me that people who don't own him (walker), who in fact are used by political tools like Walker will defend them to the end. Why? Well my best guess is that they themselves wish to be that very wealthy person that owns tools like walker. But you know you never will be, and in fact if you keep supporting tools like walker you're asking to be used over and over again. I love Milwaukee, walker loves money and power, do you really think he cares about the state of Wisconsin, think again. He just wants more.

Anonymousmore than 7 years ago

First off, Walker would inherit a $2.3 billion def...

First off, Walker would inherit a $2.3 billion deficit.
Yes. Current 8-yr Gov Jim Doink has done so well, eh?
Unwittingly you have offerd the best reason for to elect Scott Walker.
Thank you!

Anonymousmore than 7 years ago

It's a typical Republican response, when they don'...

It's a typical Republican response, when they don't like the material, blame the source. Your argument of a biased media is getting tired and worn out, time to come up with another excuse for your party's inablity to actually do the things it promises. Cut taxes...fine, cut them already, been waiting all my life for that to actually happen.

Anonymousmore than 7 years ago

Yeah -- I've been making less than $50,000.00 sinc...

Yeah -- I've been making less than $50,000.00 since 1980, and never once did my taxes decrease under Reagan, Bush Sr. and Duhbya.

Anonymousmore than 7 years ago

Yep I love the rabid left, and b4 you pounce on me...

Yep I love the rabid left, and b4 you pounce on me I have voted on both sides of the aisles. I donbase my vote on "party" but some dumb people in this state would throw the lever for Ghengis Khan if it had a "D" after it.

Anonymousmore than 7 years ago

How do you "donbase" your vote? Is that something...

How do you "donbase" your vote? Is that something that Diebold does to "correct" election results?

Anonymousmore than 7 years ago

I thought that this article was effective on the p...

I thought that this article was effective on the points of past county budgets, past improvements to the airport, past pension plan policy and past returning of salary. The rest of the column, however, leaves much to be desired.While I trust Walker no more than I trust his Orbisonian, uniformly black hair, it is not fair to characterize speculation about his professed goals as "fact-checking." His record speaks for itself, but we cannot "fact-check" what he might do in the future. To pretend that this speculation is fact-checking is politics for the sake of politics, and brings no one to any new realization.

Anonymousmore than 7 years ago

Well said Bay View Dave....

Well said Bay View Dave.

Anonymousmore than 7 years ago

Gee..another shepherd article trashing a freedom-l...

Gee..another shepherd article trashing a freedom-loving, fiscally responsible conservative...who woulda thunk??? Who even reads these dopey articles past the title? If these writers were any good wouldn't they work for a real newspaper?

Anonymousmore than 7 years ago

Scott Walker is another in a long line of Republic...

Scott Walker is another in a long line of Republican hucksters and his worshippers are complete shmucks. He's going to more than double the state deficit and leave office to go to DC with plenty of high-paying job offers from all the corporations he helped sell Wisconsin to.The even greater tragedy is the Walker shmucks will still find a way to blame it on the "liberals".

Anonymousmore than 7 years ago

yep Doyle and Barrett have kept that state and loc...

yep Doyle and Barrett have kept that state and local deficit down and kept taxes in check. What are you smoking?

Anonymousmore than 7 years ago

The more you pick on Walker the more we love him. ...

The more you pick on Walker the more we love him. The Shepherd always helps so many with their voting decsions. If the Shepherd does not like someone I and many others do. You loved Jim Doyle and look at the good job he is doing. Scott Walker is getting my legal registered vote

Anonymousmore than 7 years ago

There more you say otherwise is the reason that th...

There more you say otherwise is the reason that the O'Donnell Parking Structure and many other County owned properties are deteriorating to the point where someone named Jared was killed. That was the first day of this year's Summerfest. Ms. Kaiser is just scratching the surface of what Mr. Walker has pulled the last eight years. Also, the one year where all the County owned pools that didn't need to be closed were.

Anonymousmore than 7 years ago

It appears that the tragedy of O'Donnell Parking G...

It appears that the tragedy of O'Donnell Parking Garage wasn't so much a problem with deterioration as it was a problem of not following the original specs back in the 90s.

The last 8 years of Walker? Nice try, more like a problem stemming from County Executive Dave Schultz

Anonymousmore than 7 years ago

There's more to this article that was left out. Th...

There's more to this article that was left out. There's the whole mess with the Mental Health Complex, the Courthouse security guard scandal, MCTS needing to beef up security, and the fact that Mr. Walker continues to blame his predessor, Tom Ament for some the ongoing problems.

Anonymousmore than 7 years ago

Just what i expect from a liberal rag like this it...

Just what i expect from a liberal rag like this it is no wonder it's free who would pay for this crud

Anonymousmore than 7 years ago

Wow. How many of these commenters defending Walker...

Wow. How many of these commenters defending Walker are paid to troll these sorts of articles online? Could you be a little more obvious...

Anonymousmore than 7 years ago

Wow, here is another delusional leftie. Go back an...

Wow, here is another delusional leftie. Go back and read some of the reports on how Walker's budgets were received by the board, and the results. If MKE's budgets expanded, it was solely the responsibility of the board, which are your guys.

Anonymousmore than 7 years ago

There is a good reason this paper is free. Who'd a...

There is a good reason this paper is free. Who'd actually buy it based on this sort of article.

Anonymousmore than 7 years ago

You liberal clowns need to come to grips that Barr...

You liberal clowns need to come to grips that Barrett doesn't have a chance.

Anonymousmore than 7 years ago

Time for someone to fact check the self appointed ...

Time for someone to fact check the self appointed fact checkers of Shepherd Express. This entire piece is opinion and none of the supposed facts is correct.It is Walker who had to make the tough decisions constantly fighting a free spending county board who insisted saving frivolous things like the county fish hatchery.Our county property taxes are higher only because of the liberal free spenders on the county board who Walker opposed every step of the way.

Anonymousmore than 7 years ago

I love how all the Walker supporters are in denial...

I love how all the Walker supporters are in denial. It's about time someone told the truth behind the lies this guy has been giving out. He is as fake as they come.

Anonymousmore than 7 years ago

Hey Eastsider, I think it is remarkable how to lef...

Hey Eastsider, I think it is remarkable how to lefties can read the facts over and over, and still come to some conclusion that based solely on your wishful thinking, and the hopes that by spouting more trash you can somehow influence others as equally clueless as you. Good luck with that plan.

Anonymousmore than 7 years ago

Walker can't manage ANYTHING. These facts are corr...

Walker can't manage ANYTHING. These facts are correct. The bond issue WILL bite us in the butt soon. Walker never provides any reasonable solutions. It is nice that he also does NOT even save money when he outsources. All he does is move the money out of state. I bet it gets him campaign donations from Wackmeoff though...

Anonymousmore than 7 years ago

Hey Snorewood, grammar much?...

Hey Snorewood, grammar much?

Anonymousmore than 7 years ago

Hey how about that Los Vegas deal for corporations...

Hey how about that Los Vegas deal for corporations? Kind of like Exxon Mobil making 13 billion last year and not paying a dime in US taxes because they offshore their business? Corporate welfare tried and true and you think this A-hole should be governor? He sounds pretty Bush era to me and always has been..he p'oed more people than he realizes..goes to church by me to I wonder how much penace he does every week for his lies!

Anonymousmore than 7 years ago

Yes, OWN is a fair and non-biased source of "facts...

Yes, OWN is a fair and non-biased source of "facts." They wouldn't pee on Sarah Palin's down syndrome child if he was on fire. And when it comes to Walker and the County Board, Walker looks like a g.d. hero knowing he has to deal with people like Peggy "I don't know which way is" West.

Anonymousmore than 7 years ago

YES! By my count, that is the 42nd time this year...

YES! By my count, that is the 42nd time this year Kaiser has used "What's more!" Give me the address and I will send a thesaurus.

Anonymousmore than 7 years ago

Id expect no less a slant from this paper, when it...

Id expect no less a slant from this paper, when it was amusic paper "express" it was good reading now it is so left wing that even Mao would consider it too far left

Anonymousmore than 7 years ago

I don't mind if the author has an opinion. Hell, ...

I don't mind if the author has an opinion. Hell, make an argument to the best of your ability, but if you're going to make it a "Fact-Check" piece, then facts better be involved.For instance, the very first point is an attempt to correct something that happens to be factual and admittedly so. The second point isn't even a matter of correcting something that's wrong. She's just saying that it would create more problems. The whole piece is worthelss.

Anonymousmore than 7 years ago

That's what you call a fact check? Not a single p...

That's what you call a fact check? Not a single point was correct.

Anonymousmore than 7 years ago

You say, "All lies!" It's time for you to be fact-...

You say, "All lies!" It's time for you to be fact-checked. Be specific, where are the lies.

Anonymousmore than 7 years ago

And just how do you prove otherwise yourself? Jus...

And just how do you prove otherwise yourself? Just by denial? The party of NO has got to go and Walker is a liar!

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